Samsung Electronics to adopt the optical image stabilization (OIS) function for smartphone cameras after the 2nd half of 2014

Samsung Electronics is troubled by the unstable supply and demand of the OIS AF actuator for smartphone117 cameras. Samsung Electronics tried to implement the OIS function in the Galaxy Note 3, but postponed it to after the release of the Galaxy S5. However, as there are an insufficient number of OIS AF actuator suppliers, it seems that the company will adopt it in the Galaxy series in the second half of next year at the earliest.

According to the industry on November 28, the Wireless Business Division of Samsung Electronics is considering putting off the plan to apply the OIS function to smartphone from April 2014 to sometime after June 2014.

The number of domestic suppliers of the OIS AF actuator is absolutely insufficient, and the production yield is low too. As things are now, Samsung Electronics is not very likely to adopt the OIS function to its flagship models, such as the Galaxy S and Galaxy Note. “Competitors have already adopted the OIS function for smartphones, and are using it as a marketing point,” said a Samsung insider. “Even if we apply it to our flagship models notwithstanding higher costs, people will suspect that we are imitating our competitors.”

Samsung Electronics originally thought of introducing the OIS function to the Galaxy Note 3, but postponed it until after next year. In the meantime, LG Electronics commercialized the OIS function in its G2 ahead of Samsung Electronics. LG Electronics is known to have paid attention to OIS supply and demand by investing in the capital expenditure of Japan’s Mitsumi. LG Electronics is using the OIS function of the G2 camera as a marketing point to enhance the premium brand image.
Adopting the OIS function is a thumb in the eye from the viewpoint of smartphone design. Samsung Electronics is applying a very thin (7~8㎜) design to its flagship models.

But the OIS function will create a problem with the thin design. Currently the OIS is implemented by mounting a dedicated system semiconductor on the AF actuator. The problem is that, if the system semiconductor is added to the AF actuator, it will be difficult to make the camera module thin, and there will be a problem with power efficiency as well. At this time the AF actuator module design technology is important. It is common knowledge that there are not many competitive suppliers in Korea.

Samsung Electronics is shifting its focus to increasing the number of pixels of the camera module. It is known that Samsung Electronics will adopt the 16-mega pixel camera module to 25% of the smartphones it will release next year. One out of four Samsung smartphones will come with the 16-mega pixel camera module. Considering that the largest consumer electronics company in Korea plans to ship 360 million smartphones next year, the demands for the 16-mega pixel camera modules will amount to 181 million units.

“Currently LG Electronics’ G2 and Nokia Lumina 925 are the only models with the OIS camera,” said an industry insider. “Depending on how many Samsung smartphones will have the OIS function, the domestic AF actuator market will see many changes.”